Havila secures cash and equipment from DeepOcean charter termination

Oslo-listed Havila Shipping and companies in DeepOcean have signed an agreement about full and final settlement between the parties regarding contract termination for the subsea vessel Havila Phoenix.

The subsea vessel Havila Phoenix has since 2013 served DeepOcen, under a charterparty with firm period until May 2023 with further options.

However, Havila Shipping terminated the charter with DeepOcean on 11 December 2020.

Namely, in November last year, Havila Shipping received a letter from DeepOcean containing information regarding their intension to seek protection under British law for wind up of the UK based activities, including the company that had chartered Havila Phoenix.

After having finalised the project Havila Phoenix was engaged in at receipt of the letter mentioned, and Havila Shipping received no instructions regarding further use of the vessel.

DeepOcean has, as a result of their activities, or lack of activities, ended up in breach of contractual obligations, including payment default, Havila said earlier.

Havila Shipping also requested payment from DeepOcean Group Holding BV in Netherland under the parent company guarantee issued to fulfil the chartering company’s contractual obligations.

The settlement agreement, executed on Wednesday, includes both cash settlement and acquisition of ownership to A-frame, trencher and ROVs previously owned by DeepOcean.